74% of Korean bio firms struggle with financial difficulties: survey

Visitors attend the "Bio Korea 2025" exhibition at Coex in Gangnam District, Seoul, May 7. Yonhap

More than 7 out of 10 Korean biotech companies are facing financial difficulties, and nearly 4 in 10 have considered selling their business, a survey showed Wednesday.

According to the survey carried out by the Korea Biotechnology Industry Organization, 74 percent of chief executive officers (CEOs) and executives of 136 local biotech companies reported unstable funding conditions.

Additionally, 76 percent said their research and development (R&D) schedules have been disrupted due to funding challenges.

Some 58 percent of them said they are uncertain when their financial situation might improve.

The data also revealed that 38 percent of biotech business leaders have considered selling their companies as a result of ongoing financial pressure. Furthermore, 47.8 percent said they would be open to selling if an appropriate buyer emerged.

Based on the survey, the bio organization proposed 10 policy recommendations to the government aimed at strengthening the country's biotech ecosystem.

These include fostering startups, expanding R&D support, encouraging investment, creating a large-scale commercialization fund and easing financial regulations.